Abercrombie & Fitch Addresses Ex-CEO’s Indictment for Sex Trafficking and Prostitution Charges
Following Tuesday’s indictment of its former chief executive officer Mike Jeffries on sex trafficking and prostitution charges, Abercrombie & Fitch has addressed the matter in a statement.
After initially declining any comment Tuesday, an Abercrombie & Fitch spokesperson issued a statement Wednesday that reiterated what the company had said last October following the release of a BBC investigative documentary that alleged Jeffries had recruited, exploited and in some instances abused men for sexual encounters. “We are appalled and disgusted by the alleged behavior of Mr. Jeffries, whose employment with Abercrombie & Fitch Co. ended nearly 10 years ago.”
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The statement continued, “Speaking up and coming forward is not easy, and our thoughts remain with those who have bravely raised their voices as part of the federal investigation.”
Jeffries, who held the top job from 1992 to 2014, is accused of orchestrating an international operation that lasted at least from 2008 until early 2015 and involved hiring and transporting dozens of men to upscale hotels and his homes. The 80-year-old executive is alleged to have spent “millions of dollars on a massive infrastructure” to support the enterprise and “hundreds of thousands of dollars in cash for commercial sex,” as well as money for travel, hotel rooms and a security company, according to Breon Peace, the U.S. attorney of the Eastern District of New York.
During his tenure, Jeffries recreated the brand into a multibillion-dollar enterprise with slick ad campaigns and marketing that often featured semi-bare muscular men. Following the release of the BBC documentary last year, Abercrombie & Fitch said it was conducting an independent investigation. The retailer also suspended Jeffries’ annual lifetime bonuses of $1 million.
Jeffries’ partner Matthew Smith and an alleged accomplice James Jacobson are also named in the federal indictment that was brought forward in part by 15 John Does. Jeffries and Smith, 61, were arrested in West Palm Beach, Fla., on Tuesday, and the former Abercrombie & Fitch CEO was released later in the day on a $10 million bond, and secured real estate holdings in New York that he owns with his ex-wife Susan Hansen Jeffries. Considered a flight risk by federal authorities due to his dual U.S. and U.K. citizenship, Smith is being held. Jacobson, 71, was also arrested and was later released on a $500,000 bond Tuesday.
During Tuesday’s press conference, Peace said the investigation is ongoing and he encouraged anyone with information about the allegations, or any victims, to contact the Federal Bureau of Investigation by calling 800-CALL-FBI.
“For close to a decade, we have successfully transformed our brands and culture into the values-driven organization we are today. We have zero tolerance for abuse, harassment or discrimination of any kind, and are committed to fully cooperating with law enforcement as the legal process continues.”
Brian Bieber, an attorney for Jeffries at Gray Robinson LLC, said Tuesday, “We will respond in detail to the allegations after the indictment is unsealed, and when appropriate, but plan to do so in the courthouse — not the media.”
In addition, Brad Edwards, an attorney for some of Jeffries’ accusers, said Tuesday, “These arrests are the first step in the path to justice for our many clients who were victims of the sex-trafficking operation that ran through the highest level of Abercrombie & Fitch for more than a decade.”
Edwards represents some of Jeffries’ accusers, who filed a civil lawsuit against Abercrombie & Fitch for allegedly funding a criminal enterprise that he and Smith allegedly ran between 1992 and 2014.
After Jeffries sued Abercrombie & Fitch to cover his legal fees last year, a judge ruled in favor of Jeffries earlier this year.
Jeffries and Jacobson are due to be arraigned at the federal courthouse in Central Islip, N.Y., on Friday afternoon.
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